Announcement Regarding Major Litigation Involving a Wholly-Owned Subsidiary

Shenyang Huatian Thermal Power Co., Ltd.

Announcement Regarding Major Litigation Involving a Wholly-Owned Subsidiary

The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and are free from any false representations, misleading statements, or material omissions.

Special Note:

1. Litigation Stage: The case has been accepted by the court and is pending trial.

2. Party Status of the Listed Company: Shenyang Jinlang Thermal Power Co., Ltd. (hereinafter referred to as "Jinlang Thermal"), a wholly-owned subsidiary of Shenyang Huatian Thermal Power Co., Ltd. (hereinafter referred to as the "Company"), is the defendant.

3. Amount Involved: Approximately RMB 14,260.49 million in total.

4. Impact on the Company's Profit and Loss: This case has not yet gone to trial, and its impact on the Company's current or future profits is uncertain.

I. Basic Situation of Case Acceptance

Recently, Jinlang Thermal received a "Civil Complaint" and a "Summons from the People's Court of Shenhe District, Shenyang" [Case No.: (2026) Liao 0103 Civil Preliminary No. 26793] mailed by the People's Court of Shenhe District, Shenyang (hereinafter referred to as the "Court"). The State-owned Assets Supervision and Administration Service Center of Shenhe District, Shenyang, Shenyang Shenhe Heating Co., Ltd., and Shenyang Shenhe Wensheng Thermal Heating Co., Ltd. have filed a lawsuit against Jinlang Thermal and Shenyang Century Investment Co., Ltd. due to a contract dispute. The court has accepted the case, and the hearing is scheduled for August 19, 2026.

II. Basic Information of the Case

(I) Parties to the Litigation

Plaintiff 1: State-owned Assets Supervision and Administration Service Center of Shenhe District, Shenyang

Plaintiff 2: Shenyang Shenhe Heating Co., Ltd.

Plaintiff 3: Shenyang Shenhe Wensheng Thermal Heating Co., Ltd.

Defendant 1: Jinlang Thermal

Defendant 2: Shenyang Century Investment Co., Ltd.

(II) Cause of the Case

1. Background of the Case

In 2023, Shenyang Shenhe Public Utilities Construction and Development Group Co., Ltd. (hereinafter referred to as "Public Utilities Group") and Jinlang Thermal signed a "Heating Load Transfer Agreement" with the Real Estate Bureau of Shenhe District, Shenyang. Jinlang Thermal acquired the operating rights for heating a total of 7.49 million square meters in Shenhe District, which was previously managed by Plaintiff 3 and Shenyang Shenhe Real Estate Bureau Heating Company (hereinafter referred to as "Shenhe Heating"). Concurrently, Jinlang Thermal and Public Utilities Group signed a supplementary agreement to the "Heating Load Transfer Agreement" to supplement any outstanding matters.